CVC LIMITED — Interim / Quarterly Report 2016

Feb 28, 2016

RESULTS ANNOUNCEMENT FOR THE 6 MONTHS ENDED 31 DECEMBER 2015

INTRODUCTION

CVC Limited (ASX: CVC) [the Company] today reports a statutory net profit after tax of \$10.2 million (31 December 2014: \$14.6 million¹ ) for the six months ended 31 December 2015. After factoring in movements from the revaluation of investments, total comprehensive income for the half year was \$11.6 million (31 December 2014: loss of \$3.1 million).

The operating performance after considering movements in reserves can be summarised as follows:

	31 Dec 2015	31 Dec 2014
Shareholders of CVC Non-controlling interest	\$9.2 million \$2.4 million ────────	(\$4.3 million) \$1.2 million ────────
Total comprehensive income	\$11.6 million ════════	(\$3.1 million) ════════

Statutory Net Tangible Assets per share (NTA), increased by 4 cents per share in the six month period to \$1.59 per share (31 December 2014: decrease of 6 cents) after providing for the payment of a dividend of 3 cents per share in September 2015.

COMMENTARY

Highlights during the half year were:

Balance Sheet Strength

Closing cash balances decreased by \$21.5 million to \$33.0 million as at 31 December 2015. Shareholders' equity increased by \$4.7 million to \$190.4 million over the six month period, after dividend payments of \$3.6 million.

Listed Investments

The contribution from listed investments to comprehensive income for the six month period was a profit of \$1.6 million (31 December 2014: loss of \$2.6 million). This contribution comprised \$0.1 million from the sale of investments and an increase in the value of shares of \$1.5 million. During the period CVC has continued to make acquisitions in listed companies that are considered to

¹ The 31 December 2014 results include the operating results of CVC Property Fund for the half year amounting to \$1.1 million which was sold on 22 April 2015 and is classified as discontinued operations.

be undervalued, which included the exercise of the call options held in Lantern Hotel Group.

Property

Property investments contributed \$10.8 million (31 December 2014: \$2.8 million) to comprehensive income. This included interest related income generated from the provision of mezzanine finance facilities of \$4.8 million, exit from commercial building investments of \$3.6 million and profit recognised from the construction of the South Nowra property of \$1.9 million.

During the period CVC sold the South Nowra retail property and entered into a development and delivery agreement for the construction and delivery of the site. Progress continues on the planning approval process to achieve a residential rezoning of both the Marsden Park North and Donnybrook subdivision development sites.

During the period CVC funded the acquisition of two sites: a 15 hectare site in Caboolture, Queensland; and an industrial site in East Bentleigh, Victoria. Both projects provide long term development pipelines once a rezoning has been achieved of combined retail, commercial and residential uses.

Private Equity

The contribution to comprehensive income for the period was \$1.6 million (31 December 2014: \$0.9 million).

During the period, Ron Finemore Transport Pty Limited completed the acquisition of the remaining shares for proceeds of \$7.5 million, generating a profit of \$1.2 million. CVC received a distribution from Green's Foods Holdings Pty Limited of \$3.5 million.

CVC made an investment in PAFtec Pty Limited, an Australian patented and developed breathing device manufacturer primarily sold internationally.

Funds Management

The contribution to comprehensive income was \$0.2 million (31 December 2014: \$0.4 million).

Consolidated Trading Operations

Cellnet Group Limited (ASX: CLT) provided a contribution to comprehensive income of \$1.6 million (31 December 2014: \$1.7 million) for the period. The Cellnet Group Limited result was achieved despite difficult trading conditions exacerbated by the Dick Smith group suspending all purchasing in the lead up to the Christmas trading period.

2016 OUTLOOK

CVC continues to focus on delivering pre-tax investment returns in excess of 15% per annum over the investment cycle.

CAPITAL MANAGEMENT

A fully franked dividend of 3 cents per share was paid to shareholders on 11 September 2015 for the year ended 30 June 2015. On 19 February 2016, the Directors resolved to pay an interim dividend of 5 cents per share payable on 8 March 2016.

ADH Beard Director 29 February 2016

Appendix 4D

Half-Yearly Report Results for announcement to the market

CVC Limited
ABN	Half-Year ended ('Reporting Period')				Previous Half-Year ended ('Corresponding period')
34 002 700 361		31 December 2015			31 December 2014
Results
Income from continuing operations		up	19.0%	to	88,883,212
Profit before tax from continuing operations		down	36.0%	to	11,668,337
Profit after tax attributable to members		down	41.3%	to	7,865,867
Net profit attributable to members		down	41.3%	to	7,865,867

The preliminary half-yearly report is based on accounts which have been reviewed.

Dividends (distributions)

	Amount per security	Franked amount per security
Interim dividend	5.0 cents	5.0 cents
Prior year Special dividend	10.0 cents	10.0 cents
Prior year interim dividend	2.0 cents	2.0 cents
Prior year final dividend	3.0 cents	3.0 cents

Information on dividends:

On 19 February 2016 the directors resolved to pay an interim dividend of 5 cents per share, fully franked, payable on 8 March 2016.

As previously advised the Dividend Reinvestment Plan has been suspended until such time as a there is a better correlation between the share price and the underlying net asset value of CVC Limited. As a result, the Dividend Reinvestment Plan will not be in operation.

Ex-Dividend date for the purpose of receiving the dividend	24 February 2016
Record date for determining entitlements to the dividend	26 February 2016
Payment Date	8 March 2016

Commentary

Brief explanation of any of the figures reported above:

Please refer to the attached commentary for a detailed review.

CVC LIMITED AND ITS CONTROLLED ENTITIES

HALF-YEAR FINANCIAL REPORT

For the half-year ended 31 December 2015

ACN 002 700 361

COMPANY PARTICULARS

CVC LIMITED

ACN 002 700 361

DIRECTORS

John Read Alexander Beard Ian Campbell

SECRETARIES

Alexander Beard John Hunter

MANAGEMENT TEAM

Alexander Beard Mark Avery Michael Bower William Highland Andrew Harris

PRINCIPAL AND REGISTERED OFFICE

Level 6, Gold Fields House 1 Alfred Street SYDNEY NSW 2000 AUSTRALIA Telephone: (02) 9087 8000 Facsimile: (02) 9087 8088

SHARE REGISTRY

RB NSW Pty Limited Level 29, 259 George Street SYDNEY NSW 2000 AUSTRALIA Telephone: (02) 9032 3000 Facsimile: (02) 9032 3088

AUDITORS

HLB Mann Judd Chartered Accountants Level 19, 207 Kent Street SYDNEY NSW 2000 AUSTRALIA

BANKERS

Westpac Banking Corporation Limited Bank of Western Australia Limited

STOCK EXCHANGE LISTING

Australian Securities Exchange Limited

John Hunter Elliott Kaplan Christian Jensen Charles Williams

CVC LIMITED & CONTROLLED ENTITIES CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL PERFORMANCE FOR THE HALF-YEAR ENDED 31 DECEMBER 2015

	Notes
		31 Dec 2015	31 Dec 2014
		\$	\$
INCOME
Revenue from services		837,745	712,677
Contract revenue		22,489,924	-
Rental income		86,737	150,562
Outgoings recovered		1,812	-
Net gain on sale of equity investments		-	13,473,798
Interest income		5,540,458	3,512,468
Dividends received		4,875,551	2,227,390
Recovery of investments in unrelated entities		8,771,423	3,672,007
Recovery of loans in unrelated entities		-	15,626
Finance income		579,687	1,337,934
Sale of goods		41,262,411	43,042,148
Sale of land		2,408,911	2,805,957
Net realised foreign exchange gain		573,721	973,275
Other income		462,854 ────────	408,791 ────────
Total income		87,891,234 ────────	72,332,633 ────────
Equity accounted profits
Share of net profit of associates	7	991,978	2,389,297
EXPENSES
Cost of goods sold	12	32,837,593	33,933,167
Cost of land sold	12	1,928,643	2,752,905
Contract costs		20,549,299	-
Net loss on sale of equity investments Audit fees		7,152,778 129,221	- 133,629
Depreciation expense		204,440	243,729
Directors fees		90,943	321,900
Employee costs		6,040,207	6,032,418
Finance costs		914,541	819,044
Impairment of listed investments		2,646,101	3,672,881
Impairment of unlisted investments		27,354	120,004
Impairment of investments in associated entities		-	374,782
Impairment of loans to other corporation		-	3,315,219
Insurance		181,274	198,174
Legal costs		199,822	178,790
Management and consultancy fees		293,687	137,541
Operating lease expense		376,167	588,215
Travel and accommodation		328,165	285,914
Other expenses		3,314,640	3,381,129
Total expenses		──────── 77,214,875 ────────	──────── 56,489,441 ────────
Profit before related income tax expense		11,668,337	18,232,489
Income tax expense	2	1,504,347	4,668,847
		────────	────────
Net profit from continuing operations for the half-year		10,163,990	13,563,642
Net profit from discontinued operation for the half-year		- ────────	1,066,387 ────────
Net profit for the half-year		10,163,990	14,630,029
Net profit attributable to:
Members of the parent entity	18	7,865,867	13,407,786
Non-controlling interest		2,298,123	1,222,243
		────────	────────
Net profit for the half-year		10,163,990 ════════	14,630,029 ════════

The above statement of financial performance should be read in conjunction with the accompanying notes to the Half-Year Report.

CVC LIMITED & CONTROLLED ENTITIES CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME FOR THE HALF-YEAR ENDED 31 DECEMBER 2015

		31 Dec 2015 \$	31 Dec 2014 \$
Profit for the half-year		10,163,990 ────────	14,630,029 ────────
Other comprehensive income/(loss)
Items that may be reclassified to profit or loss
- "Available-for-sale" investments:
- Decrease/(increase) in fair values recognised in other reserves		3,422,578	(1,420,319)
- Amounts transferred from other reserves to the income		(1,956,542)
statement on sale		────────	(16,295,933) ────────
Other comprehensive income/(loss) for the half-year, net of tax		1,466,036	(17,716,252)
Total comprehensive income/(loss) for the half-year		──────── 11,630,026	──────── (3,086,223)
Total comprehensive income/(loss) for the half-year is attributable to:		════════	════════
Members of the parent entity		9,227,726	(4,280,210)
Non-controlling interest		2,402,300 ────────	1,193,987 ────────
		11,630,026 ════════	(3,086,223) ════════
Total comprehensive income/(loss) for the period attributable to
members of the parent entity arises from:
Continuing operations Discontinued operation		9,227,726 -	(4,387,994) 107,784
		──────── 9,227,726	──────── (4,280,210)
		════════	════════
Basic and diluted earnings per share for profit from continuing
operations attributable to the members of the parent entity (cents)	4	6.58	10.42
Basic and diluted earnings per share for profit attributable to the members of the parent entity (cents)	4	6.58	11.22
		════════	════════

The above statement of comprehensive income should be read in conjunction with the accompanying notes to the Half-Year Report.

CVC LIMITED & CONTROLLED ENTITIES CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER 2015

	Notes	31 Dec 2015	30 Jun 2015
		\$	\$
CURRENT ASSETS
Cash and cash equivalents	5	33,030,738	54,456,733
Loans and other receivables	6	77,857,389	47,419,357
Financial assets - "at fair value through profit or loss"	9	3,918,098	2,652,580
Derivative financial instrument		-	261,000
Investment properties	10	-	10,094,592
Inventories	12	17,538,047	14,965,524
Other assets		631,536 ────────	238,035 ────────
Total current assets		132,975,808 ────────	130,087,821 ────────
NON-CURRENT ASSETS
Loans and other receivables	6	23,917,670	27,768,088
Financial assets - "available-for-sale"	8	50,046,328	48,678,295
Inventories	12	10,711,608	10,591,070
Investments accounted for using the equity method	7	16,697,844	16,269,678
Property, plant and equipment	11	846,463	970,878
Investment properties	10	12,659,307	6,502,477
Intangible assets	13	50,358	26,816
Deferred tax assets		2,048,079 ────────	1,774,138 ────────
Total non-current assets		116,977,657 ────────	112,581,440 ────────
TOTAL ASSETS		249,953,465 ────────	242,669,261 ────────
CURRENT LIABILITIES
Trade and other payables	14	13,737,108	16,445,452
Interest bearing loans and borrowings	15	6,572,749	1,027,893
Derivative financial instrument		513,000	-
Provisions	16	894,812	1,055,386
Current tax liabilities		1,864,270 ────────	689,603 ────────
Total current liabilities		23,581,939 ────────	19,218,334 ────────
NON-CURRENT LIABILITIES
Interest bearing loans and borrowings	15	20,696,192	20,433,814
Provisions	16	253,558	216,810
Deferred tax liabilities		949,098 ────────	1,941,519 ────────
Total non-current liabilities		21,898,848 ────────	22,592,143 ────────
TOTAL LIABILITIES		45,480,787 ────────	41,810,477 ────────
NET ASSETS		204,472,678	200,858,784
EQUITY		════════	════════
Contributed equity	17	103,646,848	103,646,848
Retained profits	18	72,810,751	68,530,868
Other reserves	19	13,950,283	13,535,731
Parent entity interest		──────── 190,407,882	──────── 185,713,447
Non-controlling interest		14,064,796	15,145,337
		────────	────────
TOTAL EQUITY		204,472,678	200,858,784

The above statement of financial position should be read in conjunction with the accompanying notes to the Half-Year Report.

════════ ════════

CVC LIMITED & CONTROLLED ENTITIES CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE HALF-YEAR ENDED 31 DECEMBER 2015

	Co ibu ted ntr ity equ \$	Re tai ned nin ear gs \$	As set alu ati rev on \$	Em loy ee p nef ity be it equ \$	For eig xch n e ang e nsl atio tra n \$	Ow f th ner s o e ent par \$	No rol lin ont n-c g int st ere \$	To tal \$
At ly 1 Ju 201 5	103 646 848 , , ═══ ═══ ═══ ══	68, 530 868 , ═══ ═══ ═══ ══	7, 585 634 , ═══ ═══ ═══ ══	5, 981 880 , ═══ ═══ ═══ ══	(3 ) 1, 783 ═══ ═══ ═══ ══	185 713 447 , , ═══ ═══ ═══ ══	15, 145 337 , ═══ ═══ ═══ ══	200 858 784 , , ═══ ═══ ═══ ══
Pro fit for th e h alf -ye ar Oth hen siv e in er c om pre com e	- - ─── ─── ─── ──	7, 865 867 , - ─── ─── ─── ──	- 1, 007 584 , ─── ─── ─── ──	- - ─── ─── ─── ──	- 354 275 , ─── ─── ─── ──	7, 865 867 , 1, 361 859 , ─── ─── ─── ──	123 2, 298 , 104 177 , ─── ─── ─── ──	10, 163 990 , 1, 466 036 , ─── ─── ─── ──
tal hen siv e in e fo r th e h alf To com pre com -ye ar	- ─── ─── ─── ──	7, 865 867 , ─── ─── ───	1, 007 584 , ─── ─── ───	- ─── ─── ───	354 275 , ─── ─── ───	9, 227 726 , ─── ─── ───	2, 402 300 , ─── ─── ───	11, 630 026 , ─── ─── ───
h s har eho lde Tra ctio wit nsa ns rs: Ac of rol led isit ion int st i titi ont qu ere n c en es	-	── -	── (46 304 ) 2,	── -	── -	── (46 304 ) 2,	── (4, ) 235 796 ,	── (4, 100 ) 698 ,
sal of rol led Dis int st i titi ont po ere n c en es	-	-	(53 ) 2, 448	-	-	(53 ) 2, 448	1, 480 941 ,	948 493 ,
of ital Ret urn cap Div ide nd id	-	- (3, 585 984	-	-	-	- (3, 585 984	(50 ) 0, 000 (25 159	(50 ) 0, 000 (3, 839 143
pa Sha re b d p ent ase aym	- -	) , -	- -	- 47, 445	- -	) , 47, 445	) 3, 25, 173	) , 72, 618
At ber 31 De 201 5 cem	─── ─── ─── ── 103 646 848 , , ═══ ═══ ═══ ══	─── ─── ─── ── 72, 810 751 , ═══ ═══ ═══ ══	─── ─── ─── ── 7, 598 466 , ═══ ═══ ═══ ══	─── ─── ─── ── 6, 029 325 , ═══ ═══ ═══ ══	─── ─── ─── ── 322 492 , ═══ ═══ ═══ ══	─── ─── ─── ── 190 407 882 , , ═══ ═══ ═══ ══	─── ─── ─── ── 14, 064 796 , ═══ ═══ ═══ ══	─── ─── ─── ── 204 472 678 , , ═══ ═══ ═══ ══
ly At 1 Ju 201 4	103 646 848 , , ═══ ═══ ═══ ══	68, 137 401 , ═══ ═══ ═══ ══	23, 006 152 , ═══ ═══ ═══ ══	235 388 , ═══ ═══ ═══ ══	112 140 , ═══ ═══ ═══ ══	195 137 929 , , ═══ ═══ ═══ ══	17, 825 232 , ═══ ═══ ═══ ══	212 963 161 , , ═══ ═══ ═══ ══
fit for th e h alf Pro -ye ar Oth hen siv e ( los s) /in er c om pre com e	- - ─── ─── ─── ──	13, 407 786 , - ─── ─── ───	- ( ) 17, 839 451 , ─── ─── ───	- 10, 814 ─── ─── ───	- 140 641 , ─── ─── ───	13, 407 786 , ( ) 17, 687 996 , ─── ─── ───	1, 222 243 , ( ) 28, 256 ─── ─── ───	14, 630 029 , ( ) 17, 716 252 , ─── ─── ───
/in e fo alf To tal hen siv e ( los s) r th e h com pre com -ye ar	-	── 13, 407 786 ,	── ( 17, 839 451 ) ,	── 10, 814	── 140 641 ,	── ( 4, 280 210 ) ,	── 1, 193 987 ,	── ( 3, 086 223 ) ,
h s har eho lde Tra ctio wit nsa ns rs: Ac of rol led isit ion int st i titi ont qu ere n c en es Em loy sha tion ee re o p p s ide nd id Div pa	─── ─── ─── ── - - -	─── ─── ─── ── - - ( 3, 585 984 ) ,	─── ─── ─── ── ( 24, 702 ) - -	─── ─── ─── ── - 10, 546 -	─── ─── ─── ── - - -	─── ─── ─── ── ( 24, 702 ) 10, 546 ( 3, 585 984 ) ,	─── ─── ─── ── ( 697 286 ) , ( 7, 184 ) ( 343 345 ) ,	─── ─── ─── ── ( 721 988 ) , 3, 362 ( 3, 929 329 ) ,
At ber 31 De 201 4 cem	103 646 848 , , ═══ ═══ ═══ ══	── 77, 959 203 , ═══ ═══ ═══ ══	── 5, 141 999 , ═══ ═══ ═══ ══	── 256 748 , ═══ ═══ ═══ ══	── 252 781 , ═══ ═══ ═══ ══	── 187 257 579 , , ═══ ═══ ═══ ══	── 17, 971 404 , ═══ ═══ ═══ ══	── 205 228 983 , , ═══ ═══ ═══ ══

The above statement of changes in equity should be read in conjunction with the accompanying notes to the Half-Year Report.

CVC LIMITED & CONTROLLED ENTITIES CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE HALF-YEAR ENDED 31 DECEMBER 2015

	Notes
		31 Dec 2015	31 Dec 2014
		\$	\$
CASH FLOWS FROM OPERATING ACTIVITIES
Cash receipts in the course of operations		44,343,635	54,580,586
Cash payments in the course of operations		(53,755,130)	(51,075,444)
Payments for land held for resale		-	(3,964,739)
Proceeds on disposal of land held for resale		1,715,289	-
Proceeds on disposal of financial assets at fair value through profit or loss		483,286	1,128,747
Payment for financial assets at fair value through profit or loss		(1,898,817)	(169,793)
Proceeds on construction contract		1,099,084	-
Interest received		5,362,488	3,055,050
Interest paid		(195,499)	(892,998)
Dividends received		12,907,845	4,746,679
Income taxes paid		(1,612,933) ────────	(430,320) ────────
Net cash flows provided by operating activities	5(b)	8,449,248 ────────	6,977,768 ────────
CASH FLOWS FROM INVESTING ACTIVITIES
Payments for capital expenditure for investment properties		(750,204)	(539,640)
Payments for property, plant and equipment		(70,589)	(73,251)
Payments for investment property		(5,350,000)	-
Proceeds from disposal of investment properties		8,700,000	-
Payments for equity investments		(29,813,598)	(25,821,506)
Proceeds on disposal of equity investments		28,784,125	46,975,372
Acquisition of intangibles		(23,542)	-
Payment for acquisition of controlled entities		-	(169,012)
Loans provided		(52,263,173)	(28,361,797)
Loans repaid		23,100,378	22,483,287
		────────	────────
Net cash flows (used in)/provided by investing activities		(27,686,603) ────────	14,493,453 ────────
CASH FLOWS FROM FINANCING ACTIVITIES
Repayment of borrowings		(13,312,808)	(2,822,486)
Proceeds from borrowings		18,662,000	-
Dividends paid		(3,842,600)	(3,929,329)
Proceeds from issues of shares		1,463,695	-
Payments for share buybacks		(5,732,648) ────────	(552,793) ────────
Net cash flows used in financing activities		(2,762,361) ────────	(7,304,608) ────────
Net (decrease)/increase in cash held		(21,999,716)	14,166,613
Foreign exchange gain on cash		573,721	973,275
Cash at the beginning of the half-year		54,456,733	48,683,783
CASH AT THE END OF THE HALF-YEAR	5(a)	──────── 33,030,738	──────── 63,823,671
		════════	════════

The above statement of cash flows should be read in conjunction with the accompanying notes to the Half-Year Report.

NOTE 1: BASIS OF PREPARATION

The half-year financial report is a general-purpose financial report, which has been prepared in accordance with the requirements of AASB 134 Interim Financial Reporting and the Corporations Act 2001.

This interim financial report does not include all the notes of the type normally included in an annual financial report. Accordingly, this report should be read in conjunction with the annual report for the year ended 30 June 2015 and any public announcements made by CVC during the interim reporting period in accordance with the continuous disclosure requirements of the Corporations Act 2001.

The accounting policies adopted are consistent with those of the previous financial year and corresponding interim reporting period, other than the construction contract policy.

Certain comparatives balances have been changed in order to achieve consistency and comparability with the current period's amounts.

Construction contract

When the outcome of a construction contract can be estimated reliably and it is probable that the contract will be profitable, contract revenue is recognised over the period of the contract by reference to the stage of completion.

Contract costs are recognised as expenses by reference to the stage of completion of the contract activity at the end of the reporting period. When it is probable that total contract costs will exceed total contract revenue, the expected loss is recognised as an expense immediately.

When the outcome of a construction contract cannot be estimated reliably, contract revenue is recognised only to the extent of contract costs incurred that are likely to be recoverable.

Variations in contract work, claims and incentive payments are included in contract revenue to the extent that may have been agreed with the customer and are capable of being reliably measured.

	31 Dec 2015	31 Dec 2014
	\$	\$
NOTE 2: INCOME TAX EXPENSE
Profit from continuing operations before income tax expense	11,668,337	18,232,489
Profit from discontinued operation before income tax expense	- ────────	1,066,387 ────────
Accounting profit before income tax	11,668,337 ────────	19,298,876 ────────
Income tax expense:
Prima facie income tax expense at 30% on profit before income tax	3,500,501	5,789,663
Increase in income tax expense due to:
Sundry items	88,256	40,149
Deferred tax balances not recognised	489,238	1,353,107
Decrease in income tax expense due to:
Franked dividends received	(1,881,736)	(1,721,015)
Trust profit not assessable	(529,996)	(408,306)
Effect of lower tax rate in New Zealand (28%)	(3,738)	-
Tax losses recouped	(363,558) ────────	(26,186) ────────
	1,298,967	5,027,412
Adjustment in respect of current income tax of previous years	205,380 ────────	(358,565) ────────
Income tax expense for the half-year	1,504,347 ════════	4,668,847 ════════

NOTE 3: DIVIDENDS

Dividends proposed or paid and not provided for in previous periods by CVC are:

CVC paid a final dividend of 3 cents per share on 11 September 2015 in respect of the year ended 30 June 2015.

On 19 February 2016, CVC declared an interim dividend of 5 cents per share, fully franked, to be paid on 8 March 2016 to shareholders registered on 26 February 2016.

	31 Dec 2015	30 Jun 2015
Dividend franking account
Franking credits available to shareholders of CVC Limited for subsequent
financial years	14,201,205	12,843,599
	════════	════════

The franking account is stated on a tax paid basis. The balance comprises the franking account at period-end adjusted for:

• (a) franking credits that will arise from the payment of the amount of the provision for income tax
• (b) franking debits that will arise from the refund of overpaid tax instalments paid

(c) franking debits that will arise from the payment of dividends recognised as a liability at the reporting date

• (d) franking credits that will arise from the receipt of dividends recognised as receivables at the reporting date
• (e) franking credits that the entity may be prevented from distributing in subsequent years.

The ability to utilise the franking credits is dependent upon there being sufficient available profits to declare dividends.

	31 Dec 2015	31 Dec 2014
NOTE 4: EARNINGS PER SHARE
Basic and diluted earnings per share	Cents	Cents
From continuing operations attributable to the members of the parent entity From discontinued operations attributable to the members of the parent	6.58	10.42
entity	- ────────	0.80 ────────
Total basic and diluted earnings per share attributable to the members of the parent entity	6.58	11.22
	════════	════════
	\$	\$
Reconciliation of earnings used in calculation of earnings per share:
Profit after income tax from continuing operations	10,163,990	13,563,642
Less: non-controlling interest in continuing operations	(2,298,123) ────────	(1,114,459) ────────
Net profit from continuing operations attributable to members of the parent
entity	7,865,867 ────────	12,449,183 ────────
Profit after income tax from discontinued operation	-	1,066,387
Less: non-controlling interest in discontinued operation	- ────────	(107,784) ────────
Net profit from discontinued operation attributable to members of the parent
entity	- ────────	958,603 ────────
Net profit attributable to members of the parent entity	7,865,867 ════════	13,407,786 ════════
		Number of Shares
Weighted average number of ordinary shares – Basic and Diluted	119,532,788	119,532,788

════════ ════════

NOTE 5: NOTES TO THE CASH FLOW STATEMENT

(a) Reconciliation of Cash and Cash Equivalents

For the purposes of the statement of cash flows, cash includes cash on hand and at bank and short-term deposits at call. Cash as at the end of the interim reporting period is reconciled to the related items in the statement of financial position as follows:

31 Dec 2015	30 Jun 2015
\$	\$
31,349,188	52,850,183
1,681,550	1,606,550
	────────
	54,456,733 ════════
	──────── 33,030,738 ════════

(b) Reconciliation of profit after income tax to the net cash provided by operating activities:

	31 Dec 2015 \$	31 Dec 2014 \$
Profit after income tax	10,163,990	14,630,029
Add/(less) non-cash items:
Share of equity accounted profits	(991,978)	(2,389,297)
Depreciation and amortisation of plant and equipment	204,440	243,729
Non-cash employee benefits expense-share based payments	55,820	3,179
Impairment expenses on financial instruments	2,673,455	7,482,886
Impairment recoveries	(8,771,423)	(3,687,633)
Net (loss)/profit on disposal of investments	7,152,778	(13,473,798)
Interest income not received	(177,970)	(457,723)
Interest expense not paid	184,728	386,303
Dividend income	1,125,607	5,975
Foreign exchange profit on cash	(573,721)	(973,275)
Movement in income tax provision	1,134,290	3,687,400
Movement in deferred tax assets and liabilities	(1,241,890)	550,660
Changes in assets and liabilities:
Inventories	(2,449,103)	1,968,957
Financial assets at fair value through profit or loss	(1,417,375)	958,954
Trade and other receivables	(2,133,125)	(1,808,238)
Trade and other payables	4,028,050	(36,254)
Provisions	(123,825)	28,010
Other assets	(393,500)	(142,096)
Net cash provided by operating activities	──────── 8,449,248 ════════	──────── 6,977,768 ════════
NOTE 6: LOANS AND OTHER RECEIVABLES
	31 Dec 2015	30 Jun 2015
	\$	\$
Current
Trade receivables	16,833,715	9,815,080
Allowance for impairment loss	(78,043)	(104,486)
Amounts due from customers for contract work (a)	2,303,687	-

Trade and other receivables don't have any retention amounts related to construction contracts in progress.

Other receivables and prepayments 5,345,510 11,641,623 Loans to other corporations 53,452,520 26,372,019 Impairment of loans to other corporations - (304,879)

──────── ──────── 77,857,389 47,419,357 ════════ ════════

	31 Dec 2015	30 Jun 2015
	\$	\$
NOTE 6: LOANS AND OTHER RECEIVABLES (CONT.)

Current (cont.)

(a) Construction contract

On the balance sheet, CVC reports the net contract position as an asset. A contract represents an asset where costs incurred plus recognised profits (less recognised losses) exceed progress billings. The net balance sheet position for ongoing construction contract relates to:

The aggregate costs incurred and recognised profits (less recognised losses) to
date	20,989,924	-
Less: Progress billings	(18,686,237) ────────	- ────────
Net balance sheet position for ongoing contracts	2,303,687	-
	════════	════════

Measurement of construction contract revenue and expense

CVC uses the 'percentage-of-completion method' to determine the appropriate amount to recognise in a given period. The stage of completion is measured by reference to the contract costs incurred up to the end of the reporting period as a percentage of total estimated costs for each contract.

Non-Current
Loans to associated entities	15,247,100	12,411,823
Loans to other corporations	8,670,570	16,557,873
Impairment of loans to other corporations	- ────────	(1,201,608) ────────
	23,917,670 ════════	27,768,088 ════════

NOTE 7: INVESTMENTS ACCOUNTED FOR USING THE EQUITY METHOD

Equity accounted interests in joint ventures Equity accounted shares in other associated companies	3,565,927 13,131,917 16,269,678 ──────── ────────
	16,697,844 ════════	16,269,678 ════════

Details of investments accounted for using the equity method are as follows:

	% Ownership at end of half-year			Carrying value	Contribution to net profit/(loss)
	31 Dec 15	30 Jun 15	31 Dec 15	30 Jun 15	31 Dec 15	31 Dec 14
Associated entities			\$	\$	\$	\$
Concise Asset Management Limited	42.0	42.0	1,085,253	1,081,096	172,157	297,447
Green's Foods Holdings Pty Limited	43.5	43.5	11,303,308	14,660,528	123,567	1,774,712
JAK Investment Group Pty Ltd	40.0	50.0	381,356	168,054	488,508	115,702
Ryedale Road Trust	-	-	-	-	-	201,436
Londonderry Unit Trust	30.0	30.0	-	-	641,819	-
Urban Properties Pty Limited	33.0	33.0	362,000	360,000	-	-
Urban Properties Cairns Pty Limited	20.0	20.0	-	-	-	-
Urban Properties Centenary Pty Limited	20.0	20.0	-	-	-	-
BioPower Systems Pty Limited	25.1	25.1	-	-	-	-
Donnybrook JV Pty Ltd	49.0	49.0	-	-	-	-
Joint Ventures
MAKE EBRB Dev Nominee Pty Ltd	50.0	-	3,565,927 ───────	- ───────	(434,073) ───────	- ───────
			16,697,844	16,269,678	991,978	2,389,297
			═══════	═══════	═══════	═══════

	31 Dec 2015	30 Jun 2015
	\$	\$
NOTE 8: FINANCIAL ASSETS - "AVAILABLE-FOR-SALE"
Non-Current
Shares in listed corporations – at market value	40,267,841	41,062,295
Other investments - at cost	9,223,414	7,080,936
Impairment of other investments – at cost	(711,175)	(683,821)
Public unlisted investments – at market value	1,266,248 ────────	1,218,885 ────────
	50,046,328 ════════	48,678,295 ════════

NOTE 9: FINANCIAL ASSETS - "AT FAIR VALUE THROUGH PROFIT OR LOSS"

Current
Shares in listed corporations – at market value	3,918,098 ════════	2,652,580 ════════
NOTE 10: INVESTMENT PROPERTIES
Investment properties (note 23)
Current	-	10,094,592
Non-current	12,659,307 ────────	6,502,477 ────────
	12,659,307 ════════	16,597,069 ════════
Reconciliation:
Investment properties at beginning of the half-year	16,597,069	41,733,439
Additions – acquisition of properties	5,350,000	-
Additions – capital expenditure	883,821	2,418,495
Carrying value of investment property sold Disposal of properties arising from disposal of controlled entity	(10,162,147) -	- (28,250,000)
Depreciation	(9,436)	-
Fair value adjustment	-	695,135
Total investment properties at the end of the half-year	──────── 12,659,307 ════════	──────── 16,597,069 ════════
NOTE 11: PROPERTY, PLANT AND EQUIPMENT
Total property, plant and equipment	846,463 ════════	970,878 ════════
Plant and equipment:
At amortised cost (a)	1,483,180	1,550,844
Accumulated depreciation	(873,333) ────────	(849,683) ────────
Total plant and equipment	609,847	701,161
	════════	════════

(a) The carrying amount of specific items of plant and equipment were impaired by \$389,091 during 2015 financial year which had been included in the statement of financial performance, which was based an independent expert's report as at 24 April 2015.

	31 Dec 2015	30 Jun 2015
NOTE 11: PROPERTY, PLANT AND EQUIPMENT (CONT.)	\$	\$
Leasehold improvements:
At cost	319,954	319,954
At fair value	(110,338) ────────	(77,237) ────────
Total properties	209,616 ════════	242,717 ════════
Properties:
At amortised cost (a)	27,000 ════════	27,000 ════════
(a) The carrying value of land was determined with reference to rating values as at 31 December 2014 resulting in an impairment charge of \$67,959 included in the statement of financial performance in 2015 financial year. The valuation was supported by an independent expert report as at 24 April 2015.
Reconciliation:
Plant and equipment:
Carrying amount at the beginning of the half-year Additions	701,161 103,765	1,303,516 190,552
Disposals	(40,985)	-
Depreciation	(154,094)	(403,816)
Impairment	-	(389,091) ───────
Carrying amount at the end of the half-year	──────── 609,847 ════════	701,161 ════════
Leasehold improvements
Carrying amount at the beginning of the year	242,717	308,920
Depreciation	(33,101) ────────	(66,203) ───────
Carrying amount at the end of the year	209,616 ════════	242,717 ════════
Properties: Carrying amount at the beginning of the half-year	27,000	94,959
Impairment	-	(67,959) ────────
Carrying amount at the end of the half-year	──────── 27,000 ════════	27,000 ════════
NOTE 12: INVENTORIES
Current
Stock on hand	12,281,558	8,347,883
Provision for obsolescence	(503,751)	(257,200)
Land and development held for resale	5,760,240 ────────	6,874,841 ───────
Total inventories at the lower of cost and net realisable value	17,538,047 ════════	14,965,524 ════════
Non-current
Land and development held for resale	10,711,608 ════════	10,591,070 ════════

Inventories recognised as an expense for the period ended 31 December 2015 totalled \$34,766,236 (2014: \$36,686,072). This expense has been included in the cost of goods sold in the Statement of Financial Performance.

		31 Dec 2015		30 Jun 2015
NOTE 13: INTANGIBLE ASSETS			\$	\$
Intangible assets		50,358 ════════		26,816 ════════
Reconciliation:
Carrying amount at the beginning of the half-year		26,816		-
Additions		31,351		26,816
Depreciation		(7,809)		-
		────────		───────
Carrying amount at the end of the half-year		50,358 ════════		26,816 ════════
NOTE 14: TRADE AND OTHER PAYABLES
Current
Trade and other payables		10,522,558		8,231,225
Sundry creditors and accruals		3,214,550		8,214,227
		──────── 13,737,108		─────── 16,445,452
		════════		════════
NOTE 15: INTEREST-BEARING LOANS AND BORROWINGS
Current
Secured bank loan		100,000		473,385
Trade finance facility		6,472,749 ────────		554,508 ───────
		6,572,749 ════════		1,027,893 ════════
Non-current
Secured loans		10,908,908		10,374,594
Unsecured loan from associated entity		9,787,284 ────────		10,059,220 ───────
		20,696,192 ════════		20,433,814 ════════
NOTE 16: PROVISIONS
Current
Employee entitlements		894,812 ════════		1,055,386 ════════
Non-current
Employee entitlements		253,558 ════════		216,810 ════════
		31 Dec 2015		31 Dec 2014
NOTE 17: CONTRIBUTED EQUITY	Number	\$	Number	\$
Issued and paid-up ordinary share capital
Balance at the beginning and end of the half-year	119,532,788 ═══════	103,646,848 ═══════	119,532,788 ═══════	103,646,848 ═══════

	31 Dec 2015	31 Dec 2014
	\$	\$
NOTE 18: RETAINED PROFITS
Balance at the beginning of the half-year	68,530,868	68,137,401
Net profit attributable to shareholders	7,865,867	13,407,786
Dividends	(3,585,984) ────────	(3,585,984) ────────
Balance at the end of the half-year	72,810,751	77,959,203
	════════	════════

NOTE 19: OTHER RESERVES

		Employee
	Asset	Equity	Foreign
	Revaluation	Benefit	Exchange
	Reserve	Reserve	Reserve	Total
	\$	\$	\$	\$
Half-year ended 31 December 2015:
Balance at the beginning of the half-year	7,585,634	5,981,880	(31,783)	13,535,731
Share based payments	-	47,445	-	47,445
Net unrealised gain on "available-for-sale" investments Net unrealised (gain)/loss on "available-for-sale" investments	2,974,457	-	448,121	3,422,578
– non-controlling interest	15,016	-	(93,846)	(78,830)
Acquisition of interest in controlled entities	(462,304)	-	-	(462,304)
Disposal of interest in controlled entities	(532,448)	-	-	(532,448)
Realised gain on "available-for-sale" investments reclassified
to the income statement	(1,956,542)	-	-	(1,956,542)
Realised loss on "available-for-sale" investments reclassified to the income statement – non-controlling interest	(25,347)	-	-	(25,347)
Balance at the end of the half-year	──────── 7,598,466 ════════	──────── 6,029,325 ════════	──────── 322,492 ════════	──────── 13,950,283 ════════
Half-year ended 31 December 2014:
Balance at the beginning of the half-year	23,006,152	235,388	112,140	23,353,680
Share based payments	-	10,546	-	10,546
Net unrealised gain/(loss) on "available-for-sale" investments	(1,700,917)	-	280,598	(1,420,319)
Net unrealised (gain)/loss on "available-for-sale" investments
– non-controlling interest	29,110	-	(10,221)	18,889
Acquisition of interest in controlled entities	(24,702)	-	-	(24,702)
Realised (gain)/loss on "available-for-sale" investments
reclassified to the income statement	(16,176,973)	10,814	(129,774)	(16,295,933)
Realised gain on "available-for-sale" investments reclassified
to the income statement – non-controlling interest	9,329 ────────	- ────────	38 ────────	9,367 ────────
Balance at the end of the half-year	5,141,999	256,748	252,781	5,651,528

NOTE 20: ASSETS PER SECURITY

	31 Dec 2015	31 Dec 2014
	\$	\$
Net assets per share attributable to members of the parent entity	1.59	1.57
Net tangible assets per share attributable to members of the parent entity	1.59	1.57
	════════	════════

════════ ════════ ════════ ════════

The figures above are calculated based on the consolidated financial position of CVC Limited.

NOTE 21: SEGMENT REPORTING

The revenues and results by business segments are as follows:

	Pri te va Eq ity d u an Ve ntu re Ca ita l p \$	Lis d te Inv est nts me \$	Pro ert p y \$	nd Fu s Ma t na g em en \$	Co li da d te ns o din Tr a g Op tio era ns \$	Co lle d ntr o E lim ina tio ns \$	Co li da d te ns o \$
l f- de d 3 ber Ha 1 D 20 15: y ear en ece m
Re ven ue s:
l re for ble To ta ort nts ven ue re a se me p g Int nt er- seg me rev enu e	1, 547 125 , - ── ── ── ─	9, 933 900 , - ── ── ── ─	33, 559 684 , 161 565 , ── ── ── ─	29, 885 964 956 5, , ── ── ── ─	42, 320 495 , - ── ── ── ─	- ( 6, 126 521 ) , ── ── ── ─	87, 391 089 , - ── ── ── ─
Un llo d a cat ts: a e mo un Int st i ere nco me Ot he r in com e							488 976 , 11, 169 ── ── ── ─
li da d r Co te nso eve nu e							87, 891 234 ,
Eq uit d i nte y acc ou nco me	123 567 , ══ ══ ══ ══ ═	- ══ ══ ══ ══ ═	696 254 , ══ ══ ══ ══ ═	172 157 , ══ ══ ══ ══ ═	- ══ ══ ══ ══ ═	- ══ ══ ══ ══ ═	══ ══ ══ ══ ═ 991 978 , ══ ══ ══ ══ ═
lts Re su : l p fit for ble To ta ort nts ro re a se me p g Sh f p fit f eq d i uit nte est are o ro o y acc ou nv ees	1, 434 185 , 123 567 , ── ── ── ─	107 667 , - ── ── ── ─	10, 098 016 , 696 254 , ── ── ── ─	29, 885 172 157 , ── ── ── ─	1, 624 721 , - ── ── ── ─	- - ── ── ── ─	13, 294 474 , 991 978 , ── ── ── ─
	1, 557 752 ,	107 667 ,	10, 794 270 ,	202 042 ,	1, 624 721 ,	-	14, 286 452 , ── ── ── ─
Un llo d a cat ts: te e a e mo un cor ora ens es p xp							( ) 2, 618 115 , ── ── ── ─
Co li da d p fit be for te e ta nso ro x							11, 668 337 , ══ ══ ══ ══ ═

Segment results are shown before related income tax expense.

NOTE 21: SEGMENT REPORTING (CONT.)

	Pri te va Eq ity d u an Ve ntu re l Ca ita p \$	Lis d te Inv est nts me \$	Pro ert y p \$	nd Fu s Ma t na em en g \$	li da d Co te o ns din Tr a g Op tio era ns \$	lle d Co ntr o E lim ina tio ns \$	li da d Co te o ns \$
l f- de d 3 ber Ha 1 D 20 14: y ear en ece m
Co nti ing tio nu op era ns Re ven ue s:
l re for ble To ta ort nts ven ue re a se me p g Int nt er- seg me rev enu e	2, 501 211 , - ── ── ── ─	18, 900 969 , - ── ── ── ─	5, 151 088 , 1, 427 473 , ── ── ── ─	125 770 , 4, 425 211 , ── ── ── ─	44, 591 786 , - ── ── ── ─	- ( 5, 852 684 ) , ── ── ── ─	71, 270 824 , - ── ── ── ─
Un llo d a cat ts: a e mo un Int st i ere nco me Ot he r in com e							930 935 , 130 874 , ── ── ── ─
li da d r Co te nso eve nu e							72, 332 633 ,
Eq d i uit nte y acc ou nco me	1, 774 712 ,	-	317 138 ,	297 447 ,	-	-	══ ══ ══ ══ ═ 2, 389 297 ,
lts Re su :	══ ══ ══ ══ ═	══ ══ ══ ══ ═	══ ══ ══ ══ ═	══ ══ ══ ══ ═	══ ══ ══ ══ ═	══ ══ ══ ══ ═	══ ══ ══ ══ ═
l p fit for ble To ta ort nts ro re a se me p g Sh f p fit f eq d i uit nte est are o ro o y acc ou nv ees	( ) 829 351 , 1, 774 712 ,	15, 108 083 , -	1, 433 707 , 317 138 ,	56, 416 297 447 ,	1, 736 939 , -	- -	17, 505 794 , 2, 389 297 ,
	── ── ── ─ 945 361 ,	── ── ── ─ 15, 108 083 ,	── ── ── ─ 1, 750 845 ,	── ── ── ─ 353 863 ,	── ── ── ─ 1, 736 939 ,	── ── ── ─ -	── ── ── ─ 19, 895 091 ,
Un llo d a cat ts: te e a e mo un cor ora ens es p xp							── ── ── ─ ( ) 1, 662 602 , ── ── ── ─
Co li da d p fit be for te e ta nso ro x							18, 232 489 , ══ ══ ══ ══ ═
d o Di nti tio sco nu e era p ns Re ven ue							2, 003 757 ,
Ne fit be for t e ta p ro x							── ── ── ─ 1, 066 387 , ══ ══ ══ ══ ═

Segment results are shown before related income tax expense.

NOTE 22: DISCONTINUED OPERATION

22.1 Description

On 22 April 2015 CVC sold 52% of its holding in CVC Property Fund. Refer 30 June 2015 financial statements for further information.

22.2 Financial performance and cash flow information

The financial performance and cash flow information presented are for the half –year periods ended 31 December 2014 and 31 December 2015.

31 Dec 2015	31 Dec 2014
	\$
-	2,003,757
-	(937,370)
	─────── 1,066,387
-	-
- ═══════	─────── 1,066,387 ═══════
	958,603
-	107,784 ───────
-	1,066,387 ═══════
	1,202,696
-	(1,200,000)
-	─────── 2,696 ═══════
	\$ ─────── - ─────── - ─────── ═══════ - ─────── ═══════

NOTE 23: FAIR VALUE MEASUREMENTS

The fair values of the financial assets and liabilities of CVC are approximately equal to their carrying values. No financial assets or financial liabilities are readily traded on organised markets in standardised form.

Judgements and estimates were made in determining the fair values of the financial instruments and non-financial assets that are recognised and measured at fair value in the financial statements. To provide an indication about the reliability of the inputs used in determining fair value, CVC has classified its financial instruments and non-financial assets into three levels prescribed under the accounting standards.

Level 1 – the fair value is calculated using quoted prices in active markets.

Level 2 – the fair value is estimated using inputs other than quoted prices included in Level 1 that are observable for the asset, either directly (as prices) or indirectly (derived from prices).

Level 3 – the fair value is estimated using inputs for the asset that are not based on observable market data.

The fair value of the assets and liabilities as well as the methods used to estimate the fair value are summarised in the table below.

	Quoted market	Valuation technique	Valuation technique	Total
	price	– market observable	– non market
	(Level 1)	inputs (Level 2)	observable inputs
			(Level 3)
	\$	\$	\$	\$
At 31 December 2015
Financial assets
"Available-for-sale" investments
Shares in listed corporations – at market value	8,219,063	32,048,778	-	40,267,841
Public unlisted investments – at market value	-	1,266,248	-	1,266,248
Other investments	-	38,824	8,473,415	8,512,239
"Fair value through profit or loss" investments
Shares in listed corporations – at market value	3,918,098	-	-	3,918,098
Non-financial assets
Investment properties	-	-	12,659,307	12,659,307
Financial liabilities
Derivative financial instrument	- ─────────────	(513,000) ─────────────	- ─────────────	(513,000) ─────────────
	12,137,161 ═════════════	32,840,850 ═════════════	21,132,722 ═════════════	66,110,733 ═════════════
At 30 June 2015
Financial assets
"Available-for-sale" investments
Shares in listed corporations – at market value	20,908,796	20,219,678	-	41,128,474
Public unlisted investments – at market value	-	1,218,885	-	1,218,885
Other investments	-	170,067	6,160,869	6,330,936
"Fair value through profit or loss" investments
Shares in listed corporations – at market value	2,652,580	-	-	2,652,580
Derivative financial instruments	-	261,000	-	261,000
Non-financial assets
Investment properties	- ─────────────	- ─────────────	16,597,069 ─────────────	16,597,069 ─────────────
	23,561,376 ═════════════	21,869,630 ═════════════	22,757,938 ═════════════	68,188,944 ═════════════
Reconciliation of Level 3 fair value movements:
		31 Dec 2015	31 Dec 2014
		\$	\$
Opening balance at the beginning of the period		22,757,938	41,945,338
Purchases		9,414,637	5,155,869
Sales		(13,423,882)	-
Gains recognised in other comprehensive income		101,081	261,889
Depreciation		(9,436)	-
Transfer into Level 3 from Level 2		178,773	-
Transfer into Level 3 from loans and other receivables		2,113,611	-
Transfer out of Level 3 to Level 1		────────────	- (65,000) ────────────
Closing balance at the end of the period		21,132,722	47,298,096
		════════════	════════════

NOTE 23: FAIR VALUE MEASUREMENTS (CONT.)

The fair value of Level 2 financial instruments are determined using available prices where trading does not occur in an active market. The quantitative information about the significant unobservable inputs used in level 3 fair value measurements are as follows:

	ir v Fa a	lue
	31 De c 2 015	30 Jun 201 5 e		ig hte d a We ve	rag e
ip tio De scr n	\$	\$	Un bs b le inp uts o erv a	31 De c 2 015	30 Jun 20 15	lat ion hip f u bs b le inp fa ir v lue Re uts to s o no erv a a
Le d p ies ert ase rop	-	2, 700 000 ,	Ca ita lisa tio ate p n r	-	10. 55%	Th hig he r th lisa the lo r th fai ita tio ate e e c ap we e n r r , lue va
			Le iry ase ex p	-	1.7 5 y ear s	Th lon the le the hi he r th fai lue te e er ase e a g rm g r v ,
			Oc cup an cy	-	100 %	Th hig he r th the hi he r th fai rat e e o ccu an cy e, e p g r lue va
Inv est nt me Pro ies ert p	12, 659 307 , ─── ─── ─── ───	13, 897 069 , ─── ─── ───	Ca ita lisa tio ate p n r	8%	8%	Th hig he r th lisa let f ita tio ion ate e e c ap on co o n r mp the lo r th fai lue tio str con uc we e a n, r v
	12, 659 307 , ═══ ═══ ═══ ═══	─── 16, 069 597 , ═══ ═══ ═══ ═══
Ot he r in stm ent ve s – at t cos	8, 294 642 , ═══ ═══ ═══ ═══	6, 160 869 , ═══ ═══ ═══ ═══	(a )

(a)There is no quantitative information. Fair value has been determined based on acquisition cost.

NOTE 24: SUBSEQUENT EVENTS

Since the end of the period, the directors have determined to pay an interim dividend of 5 cents per share, fully franked, payable on 8 March 2016.

There are no other matters or circumstances that have arisen since the end of the financial period which significantly affected or may significantly affect the operations of CVC, the results of those operations or the state of affairs of CVC in the financial period subsequent to 31 December 2015.

AUDITOR'S INDEPENDENCE DECLARATION

As lead auditor for the review of the consolidated financial report of CVC Limited for the half-year ended 31 December 2015, I declare that, to the best of my knowledge and belief, there have been no contraventions of:

• (a) the auditor independence requirements of the Corporations Act 2001 in relation to the review; and
• (b) any applicable code of professional conduct in relation to the review.

This declaration is in respect of CVC Limited and the entities it controlled during the period.

Sydney, NSW M D Muller 29 February 2016 Partner

CVC LIMITED

INDEPENDENT AUDITOR'S REVIEW REPORT

To the members of CVC Limited

We have reviewed the accompanying half-year financial report of CVC Limited ("the company") which comprises the condensed statement of financial position as at 31 December 2015, the condensed statement of financial performance, the condensed statement of comprehensive income, the condensed statement of changes in equity and the condensed statement of cash flows for the half-year ended on that date, notes comprising a summary of significant accounting policies and other explanatory notes, and the directors' declaration, for the consolidated entity comprising the company and the entities it controlled at the half-year end or from time to time during the half-year.

Directors' Responsibility for the Half-Year Financial Report

The directors of the company are responsible for the preparation of the half-year financial report that gives a true and fair view in accordance with Australian Accounting Standards and the Corporations Act 2001 and for such internal control as the directors determine is necessary to enable the preparation of the half-year financial report that gives a true and fair view and is free from material misstatement, whether due to fraud or error.

Auditor's Responsibility

Our responsibility is to express a conclusion on the half-year financial report based on our review. We conducted our review in accordance with Auditing Standard on Review Engagements ASRE 2410 Review of a Financial Report Performed by the Independent Auditor of the Entity in order to state whether, on the basis of the procedures described, we have become aware of any matter that makes us believe that the half-year financial report is not in accordance with the Corporations Act 2001 including: giving a true and fair view of the consolidated entity's financial position as at 31 December 2015 and its performance for the half-year ended on that date; and complying with Accounting Standard AASB 134 Interim Financial Reporting and the Corporations Regulations 2001. As the auditor of the company, ASRE 2410 requires that we comply with the ethical requirements relevant to the audit of the annual financial report.

A review of a half-year financial report consists of making enquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Australian Auditing Standards and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Independence

In conducting our review, we have complied with the independence requirements of the Corporations Act 2001.

CVC LIMITED

INDEPENDENT AUDITOR'S REVIEW REPORT (continued)

Conclusion

Based on our review, which is not an audit, we have not become aware of any matter that makes us believe that the half-year financial report of CVC Limited is not in accordance with the Corporations Act 2001 including:

• (a) giving a true and fair view of the consolidated entity's financial position as at 31 December 2015 and of its performance for the half-year ended on that date; and
• (b) complying with Accounting Standard AASB 134 Interim Financial Reporting and the Corporations Regulations 2001.

HLB Mann Judd M D Muller Chartered Accountants Partner

Sydney, NSW 29 February 2016